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St. Jude Medical Shares Fall as Muddy Waters Unveils Short Position

Shares of the medical device manufacturer fell on a dismal outlook from Muddy Waters.

St. Jude Medical (STJ) shares were down Thursday after short-selling firm Muddy Waters said it has taken a position against the medical device manufacturer. Muddy Waters said in an investment note there is 'a strong possibility that close to half of St. Jude's revenue is about to disappear for approximately two years,' highlighting that a significant share of pacemakers, implantable defibrillators and other devices 'should be recalled and remediated.' Muddy Waters added that the devices in question represent about 46 percent of St. Jude's 2015 sales, and risk being recalled after Muddy Waters received commentary from 'industry experts' that the products offer 'unnecessary health risks and should receive serious notice among hospitals, physicians and cardiac patients.'

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